Hacked Japanese cryptocurrency exchange Coincheck refunds customers

Coincheck Inc., a hacked Japanese cryptocurrency trading platform operator said Tuesday it had spent ¥46.3 billion ($435 million) to compensate 260,000 customers who had held its digital currency called NEM.

The exchange had already reported that 523 million units of NEM were stolen in a cyberattack in January.

The customers received refunds in yen at a rate of 88.549 yen per NEM, in line with earlier promises by Coincheck. That is higher than the current market rate but lower than the ¥110 value at the time of the hacking.

Coincheck, which has described itself as Japan’s largest bitcoin exchange, has said it hopes to stay in business, according to the Journal report. Coincheck hasn’t acquired a license from the Japanese government and the nation’s financial regulator has told the company twice to improve its governance and controls.